Expert: Permian to be at forefront of water recycling development

By Mella McEwen mmcewen@mrt.com

Published 11:48 am, Thursday, March 3, 2016

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Two Fountain Quail NOMAD™ units recycle freshwater at a recycling site in the Barnett Shale in northeast Texas. Each NOMAD™ unit is capable of creating up to 2,000 BPD of distilled freshwater for safe surface discharge or storage for reuse in future hydraulic fracturing jobs. less

Two Fountain Quail NOMAD™ units recycle freshwater at a recycling site in the Barnett Shale in northeast Texas. Each NOMAD™ unit is capable of creating up to 2,000 BPD of distilled freshwater for safe ... more

Photo: Courtesy Photo

Expert: Permian to be at forefront of water recycling development

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Water has surged to the forefront of concerns for Texas -- recovering from a devastating drought that is threatening to return -- and industry.

Use of water by the state’s energy industry has soared in recent years as oil and gas operators utilize hydraulic fracturing to unlock crude and natural gas from shale formations. That has resulted in a tug of war between the industry and residents as each side wants to make sure they have enough water for their needs.

“The first big thing that’s noteworthy in the energy sector is the attitude change,” said Brent Halldorson, chief operating officer at Fountain Quail Water Management in Keller.

Halldorson, who serves as chairman of the board of the Texas Water Recycling Association, said he and his company have been promoting water management and treating and recycling produced water for more than 20 years.

“In the last couple of years, recycling has become mainstream and the driver is the Permian Basin,” he said in a phone interview.

There has been a change in attitude over the last 15 years, he said. The state’s oil and gas operators no longer take water supplies for granted and also realize they have a social commitment to help ensure people have enough water.

A conference on the topic is planned for later this month in Lubbock.

Water Advancement, Technology Training & Solutions is March 22 at the Lubbock Civic Center. The free event begins at 1:30 p.m. and includes a trade show. State Sen. Charles Perry will provide the keynote address; conference sessions will deal with water reuse, water treatment, industry technology in agriculture and oil, water-wise plant selection, rainwater harvesting and conservation education. There will also be a kids activity session.

The conference is hosted by area ground water conservation districts, including the Permian Basin Underground Water Conservation District in Stanton, in collaboration with the city of Lubbock. The focus will be on sharing stories of water-saving solutions.

“Blue Ideas” is the theme of the conference, representing individuals, businesses and industries who are “thinking blue” by managing water resources through innovative techniques.

Halldorson said that part of the reason the Texas Water Recycling Association was formed is that “we know water is becoming a battleground issue between pro-fracturing and anti-fracturing. Water is being used as a scare tactic by anti-oil and -gas groups. It’s a polarized debate and we need to bridge that gap and bring some common sense to the debate.

“As water recycling has become mainstream, our message has resonated not only with the energy industry but also with environmentalists and farmers,” he said.

The Permian Basin will be at the forefront of advancing water recycling nationwide because “the Permian Basin is the No. 1 crown jewel of the U.S. energy portfolio,” Halldorson said. “The resources in Midland County alone are unlimited, but there’s limited water. That means recycling is important because the Permian Basin has an abundance of produced water.

“Produced water is the unlikely hero of the Permian Basin. What will drive advances is the availability of produced water -- waste water no one wanted before -- that will help unlock resources,” he said.

Water can be recycled cheaper than fresh water can be purchased and hauled to the well site, Halldorson said.

He predicted recycling equipment will soon be a standard part of a typical oil lease.

There is a need to establish certain standards, he said.

“That’s why we put the Texas Water Recycling Association in place, to showcase all the things being done in water recycling and raise public awareness of the efforts.”

The energy industry’s downturn and resulting drilling decline is a challenge for everyone, he said, but he knows there will be an upturn.

That is why his company accepted a private equity commitment of up to $40 million to expand its North American operations.

“With this financing in place, we’re setting the table for the next upturn,” Halldorson said.